While the core focus of China’s Belt and Road Initiative (BRI) is on traditional infrastructure deployments, it is evident that the Digital Silk Road is a key part of the overall BRI strategy, and China will leverage technology to increase its influence along the route.
This spring, when the International Monetary Fund approved a $6 billion bailout for Pakistan, an invaluable opportunity was missed to push for greater transparency of China’s Belt and Road Initiative by not requiring project contracts for the China-Pakistan Economic Corridor—a significant source of Pakistan’s debt—to be made public.
Supporters of the China-Pakistan Economic Corridor have long argued that the initiative would spur development and improve Pakistan’s macroeconomic fortunes. As Pakistan faces its thirteenth IMF bailout in the last thirty years, it is clear that without serious reforms, the debt incurred to fund CPEC could do more economic harm than good.
Even as Huawei faces resistance in Western airwaves, it is racing ahead under the world’s seas in a commercial contest that could eventually provide China with strategic advantages.
On April 25, China will convene leaders from 37 countries for the second Belt and Road Forum in Beijing. Here is some of Reconnecting Asia’s top analysis of China’s Belt and Road Initiative ahead of the summit.